Which of the following costs should be ignored when choosing among alternatives?
A) Opportunity costs.
B) Sunk costs.
C) Out-of-pocket costs.
D) Differential costs.
E) None of the answers is correct.

Question

Quizplus · Accepted Answer

Sunk costs are costs that have already been incurred and cannot be recovered or changed. They should not influence the decision-making process when choosing among alternatives, as they remain constant regardless of the choice made.

Which of the Following Costs Should Be Ignored When Choosing